Share option agreement

Non-employee; performance based
4 Reviews
Select support levelCompare
Recommended

Document overview

Use this agreement to grant a share option to a third party who is not an employee (or not yet, at least). It is based on his results or achievement. Conditions to trigger the option are to be entered by you. Suitable for any business. He may be associated in any capacity. Example: a third party Internet marketer working for an Internet business or a contracted operator of a hotel or adventure park or leisure facility.
Compliant
Compliant with the latest law
Document propertied
Document properties
  • Length:7 pages (1250 words)
  • Available in:
    MsWordMicrosoft Word DOCXApple pagesApple PagesRTFRTF
watertight guarantee
Backed by our watertight guarantee

If the document isn’t right for your circumstances for any reason, just tell us and we’ll refund you in full immediately.

writing in plain english
Written in plain English

We avoid legal terminology unless necessary. Plain English makes our documents easy to understand, easy to edit and more likely to be accepted.

Notes
Guidance notes included

You don’t need legal knowledge to use our documents. We explain what to edit and how in the guidance notes included at the end of the document.

email
Support from our legal team

Email us with questions about editing your document. Use our Lawyer Assist service if you’d like our legal team to check your document will do as you intend.

Update
Up to date with the latest law

Our documents comply with the latest relevant law. Our lawyers regularly review how new law affects each document in our library.

About this share option agreement

This document may be bought and provided by either the company management or the person who will be the optioner. The optioner may be associated in any capacity and in any business. He may be a corporate body. Example: a third party Internet marketer working for an Internet business or a contracted operator of a hotel or adventure park or leisure facility. Conditions to trigger option to be entered by you. The optioner is not an employee.

It is assumed that the optioner will achieve some goal or target to qualify. The option is triggered by the performance criteria agreed between the company and the optioner and set down as a schedule to this agreement.

We have provided an example deal, but it is for you to enter details of your exact deal .That may be any arrangement you like.

We have provided for the optioner to pay for the option and also to pay for the shares on exercise of the option. Either or both provisions may be deleted or the sums increased or reduced.

Alternatives to this share option agreement

Net Lawman sells variations on this agreement for:

  • the trigger being a higher share price and not performance criteria;
  • options for employees;

You can see these at Share option agreements.

This would also be a good time to put into place a new shareholders’ agreement whilst you are in charge of the shares. If you wait until the optioner is a new shareholder, you will have to take greater account of what he wants. Look at Shareholders' agreements.

The law in this agreement

This document is drawn under basic contract law: no special rules, no tax arrangements, no complications.

Contents of this agreement

  • Definitions and interpretation
  • Optional reference to main contract for work
  • Option data
  • Grant of option
  • Conditions for exercise of option
  • What happens if main contract is terminated before option is exercised
  • Warranties by the company
  • Draft notice by optioner to exercise the option
  • Draft list of matters which may affect optioner’s decision
Sample share option agreementFront cover

Recent reviews

Great Service
08 January 2019
Excellent!
ANGUS MORRISON
Review of the United Kingdom version
Easy to Adapt
05 August 2017
I was able to quickly adapt this agreement to my specific situation both commercially, but also as the MS Word format was easy to work with.
Daniel Templeman
Review of the United Kingdom version
Describe Sections Better
03 June 2019
Better/More descriptions of the optional section would help. Document itself was clear and functional.
Alan Timothy
Review of the United Kingdom version
Read all 4 reviews

Choose the level of support you need

Document Only

Complete the document template yourself using our guidance notes
Rs.2,499.00
  • ok This document
  • okDetailed guidance notes explaining how to edit each paragraph
Most Popular

Lawyer Assist

Support from our legal team during and after editing
209 Reviews
Rs.7,999.00
  • ok This document
  • okDocument with guidance notes explaining how to edit each paragraph
  • okUnlimited email support - ask our legal team any question related to completing the document
  • ok
    Review of your edited document by our legal team including:
    • reporting on whether your changes comply with the law
    • answering your questions about how to word a new clause or achieve an outcome
    • checking that your use of defined terms is correct and consistent
    • correcting spelling mistakes
    • reformatting the document ready to sign

Bespoke

Drafted for you, to your precise requirements
from
Rs.11,000.00
  • okA document drawn just for you to your exact requirements
  • okPersonalised service provided by an experienced solicitor
  • okFree discussion before we provide an estimate, for you to ask questions and for us to understand your requirements
  • okTransparent fees - a fixed fee for the basic work, a fixed hourly rate for new or changed instructions, and no charge for office overheads or third party disbursements
  • okCareful and thorough consideration of your circumstances and your consequent likely practical and legal requirements
  • okProvision of options that you may not have considered with availability for discussion
  • okHelp and advice woven into the fabric of our service so that you can make the best decisions
© 1999 - 2024 Net Lawman Limited.
All rights reserved